1. Zoning for Existing Homes

2. Consumer Research American Home Comfort Study conducted by Decision Analyst 30,000 homeowners surveyed –Replacement, add-on, & RNC buyers

3. System Improvements to Existing Homes

5. Close Rates Add-on/Replacement Segments if Offered

6. Close Rates Add-on/Replacement Segments Based on Home Value

7. What Consumers Say About Room Temperatures

8. Contractor VOC Research Interviews with contractors at ComforTech Outbound phone interviews with Aprilaire customers Goal: To establish the top reasons why some dealers offer zoning and others do not

9. “I don’t sell zoning because...” I need better training from the manufacturers It seems like I have to buy parts from various manufacturers to put together a system I need sales training, identify the problem, here’s how I solve it, what it means to you as a homeowner Sales people will often sell a homeowner on zoning only to find out that the home can’t be effectively zoned Would really like to see better selling tools…good leave behind materials would be a good start

10. “I sell zoning because…” It solves problems for customers Many people are “stuck” in their homes and are willing to look at zoning as an option to make their homes more comfortable I have easy access to ductwork Improperly installed HVAC systems give me an opportunity to correct problems in many homes in my market Zoning is easier today with wireless thermostats

11. Conclusions - Contractors Want: To be reminded that an opportunity exists How to spot a house that’s a candidate for zoning A clear in-home selling message Strong manufacturer support Right products for the application

12. Recap Opportunity exists—$120,000,000 market Over 40% of homeowners desire the product Over 60% say it’s one of the most important improvements they can make to their homes When quoted, 36% bought zoning systems No geographical limitations $2500—$3000 per job Dealers are looking for a partner to help them technically & most importantly, with the sales process

13. Right Products for the Application Contractors want a complete line –Zone panels for all installations –Dampers for any duct size and type –Thermostats For all installations Flexibility of a wireless thermostat

14. Zone Panels Conventional Heat/CoolHeat Pump EquipmentSingle StageMulti StageSingle StageMulti Stage # Zones234234234234 Model 6202 Model 6203 Model 6303 Model 6404 Model 6504

15. Dampers Featuring Flexible Link™ Power-Closed Design Round Dampers –New ductwork –Flex duct Rectangular Dampers –Fabricated sheet metal duct –Duct board Round Slip-in Dampers –Round hard pipe ductwork Bypass Dampers –Static pressure –Barometric Right product for all applications

16. Thermostats Touch Screen Thermostats –Home Comfort Control –8600 Premium Thermostats –8400 series, including the 8476 Specialty Thermostats –8570 w/6504 –8710 wireless

17. 8710 Wireless Thermostat No wires to run 2 piece design Makes zoning easier Keep in mind –Never should be a primary stat –Regular battery replacement –Use 6404 with vacation setting

18. So, when is the best time for a contractor to sell zoning in existing homes?

19. Actually, there are a number of best times… Planned change outs Planned maintenance calls To existing customers when temperatures change –When it begins to get hot –When it begins to get cold

20. Planned Change Out Homeowner is planning on changing out old HVAC equipment –Improve reliability –Improve efficiency –Improve comfort Best time to address system performance issues –Uneven temperatures –Occupancy patterns –Manage expectations If they don’t buy today… –Will understand zoning benefits as outside temps change –Excellent prospect for follow-up

21. Planned Maintenance Regular system maintenance usually part of a service agreement Tech is there to service, not sell Brief assessment conducted by tech –Brief set of questions that the tech can ask to determine need –Room temperature readings –Comfort advisor follow-up –Tech spiff for leads that turn into jobs –Add to database

22. Existing Customers Keep an active list of zoning prospects among current customers New installations/service agreements –Especially those who have been exposed to zoning’s benefits Targeted direct mail when it starts to get hot/cold with a solution message